VL Connect asked Pirmin Helbling and Roger Gaehler, Managing Directors of Van Leeuwen's company Kindlimann, about developments in the European steel market, including the Swiss market where Kindlimann is located.

Over the short-term, the uncertain situation in the construction sector in particular is adversely affecting us. Due to fixed price agreements there is a pressing need for us to provide indicative prices for our products. However, due to severe price fluctuations it is difficult for us to provide such indications. Due to the high prices of not only steel products, but other building materials as well, there is a risk that projects may be postponed.

As a group we are in a strong position to withstand these uncertain times as well. Thanks to our strong relationships and long-term partnerships, we have the stocks needed to be able to serve our customers with the reliability they have come to expect from us.


Outlook

At the end of 2021 and the beginning of 2022, the economic outlook was positive. Despite persisting uncertainties, the economy was recovering faster than expected. The Van Leeuwen Pipe and Tube Group’s ability to adapt, as well as the extent to which the Group has become used to the market's volatility, strengthened optimism. This continues to be the case. However, our ability to adapt is once again being put to the test by the war in Ukraine.

It has become more difficult than ever to plan ahead. We closely monitor the situation in Ukraine and in the rest of Europe. Headlines are rapidly changing from one day to the next, and we, as well as our customers, are having to absorb large quantities of information. This is causing major uncertainties among our customers.

This is why reliability, and not only prices and delivery times, plays an increasingly larger role in their decision-making. Due to our strong relationships and long-term supplier agreements throughout Europe, we continue to provide this reliability. Our stocks are in good shape. We hope to quickly restore communication and cooperation with our suppliers in Ukraine. In the meantime, our customers can continue to rely on us.

In the fall of 2021, the availability and price of hot rolled coil stabilized. Due to a shortage of semiconductor chips, car manufacturers canceled some of their orders from the steel mills. Despite a persistent shortage of chips, order books remain full. Some orders are postponed, but cancellations were less frequent. The high demand for automotive crude steel deserved higher price increases, also in our Swiss market. 

Managing Director
Kindlimann

Pirmin Helbling 

Managing Director
Kindlimann

Roger Gaehler
Developments
in the EU steel market

Over the short-term, the uncertain situation in the construction sector in particular is adversely affecting us. Due to fixed price agreements there is a pressing need for us to provide indicative prices for our products. However, due to severe price fluctuations it is difficult for us to provide such indications. Due to the high prices of not only steel products, but other building materials as well, there is a risk that projects may be postponed.

As a group we are in a strong position to withstand these uncertain times as well. Thanks to our strong relationships and long-term partnerships, we have the stocks needed to be able to serve our customers with the reliability they have come to expect from us.


In the fall of 2021, the availability and price of hot rolled coil stabilized. Due to a shortage of semiconductor chips, car manufacturers canceled some of their orders from the steel mills. Despite a persistent shortage of chips, order books remain full. Some orders are postponed, but cancellations were less frequent. The high demand for automotive crude steel deserved higher price increases, also in our Swiss market. 

Outlook

At the end of 2021 and the beginning of 2022, the economic outlook was positive. Despite persisting uncertainties, the economy was recovering faster than expected. The Van Leeuwen Pipe and Tube Group’s ability to adapt, as well as the extent to which the Group has become used to the market's volatility, strengthened optimism. This continues to be the case. However, our ability to adapt is once again being put to the test by the war in Ukraine.

It has become more difficult than ever to plan ahead. We closely monitor the situation in Ukraine and in the rest of Europe. Headlines are rapidly changing from one day to the next, and we, as well as our customers, are having to absorb large quantities of information. This is causing major uncertainties among our customers.

This is why reliability, and not only prices and delivery times, plays an increasingly larger role in their decision-making. Due to our strong relationships and long-term supplier agreements throughout Europe, we continue to provide this reliability. Our stocks are in good shape. We hope to quickly restore communication and cooperation with our suppliers in Ukraine. In the meantime, our customers can continue to rely on us.

VL Connect asked Pirmin Helbling and Roger Gaehler, Managing Directors of Van Leeuwen's company Kindlimann, about developments in the European steel market, including the Swiss market where Kindlimann is located.

Developments
in the EU steel market

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Three times a year, Van Leeuwen publishes the VL Connect for customers and relations. In addition, news about the market is published regularly. Below our various publications.
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